Thwaites denies MP anger over taxi cuts

Acting Premier John Thwaites yesterday denied backbench MPs were angry at the Government's decision to cut taxi subsidies for disabled people, but would not rule out a review of the controversial move.

Several Labor MPs have privately described the decision as one of the Government's worst since winning office in 1999.

Mr Thwaites said there was no revolt among MPs. "No, not at all. We always have discussions with backbenchers," he said. "We listen to what they say and will continue to do that."

However, he said he could not rule out a review of some of the controversial changes made to the scheme to save money. The subsidy cost $43 million last year.

Labor MPs' electorate offices were flooded with complaints after the Government capped the annual subsidy available to non-wheelchair users of the taxi scheme at $550.

"Something has to happen. We are bleeding on this one," one MP said.

Several MPs are angry about a lack of consultation from senior ministers on the cost-cutting.

Disabled people and health and social welfare groups said yesterday the cuts would have a big impact on the lives of thousands of Victorians who depend on the service to get to work or attend educational, social or medical services.

Blind Citizens Australia and Kidney Health Australia said requests to meet Premier Steve Bracks and other senior minister to discuss the cuts had gone unanswered.

Blind Citizens Australia executive officer Maryanne Diamond said the reduced subsidies would have a detrimental effect on blind people finding work or joining in social activities. "It will result in them staying at home," she said.

Kidney Health Australia chief executive officer Anne Wilson said she had received no formal response from Health Minister Bronwyn Pike's office regarding a letter she wrote more than a month ago. Ms Wilson said she had received informal indications that people requiring taxis to receive dialysis treatment would be exempt from the cuts but had yet to be formally assured of this by the Government.

An Armadale non-profit organisation for intellectually disabled people has warned it could close because of the reductions in subsidies.

Gawith Villa, which helps disabled people become involved in community activities, believes the cuts would force disabled people to withdraw from the community.

Mr Thwaites said rorting of the scheme by taxi drivers was not the reason for the cuts.

It has been reported that drivers were rorting more than $10 million a year from the scheme.

But Mr Thwaites said he believed the amount to be far smaller. The police major fraud group is investigating.